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On Friday, Caterpillar Inc (CAT.N) announced a lower second-quarter profit because of the recession caused by the coronavirus outbreak.
The decline was due to lower sales volume and changes in dealer inventories. During the second quarter of the year, some dealers decided to decrease their machine and engine inventories worth $1.4 billion.
The construction machinery and equipment company said that it would cut costs and prioritize investment in its services.
“We are well-positioned for these challenging times because of the successful execution of our strategy. We are focused on employee safety and maintaining a competitive and flexible cost structure while continuing to invest in services and expanded offerings to serve our customers better. We will adjust production as conditions warrant,” Caterpillar’s Chief Executive Officer Jim Umpleby said.
Caterpillar’s shares were down by more than 7% since the beginning of 2020.
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KYC Policy